Shopify boss Harley Finkelstein predicts post Covid physical retail revival
Despite facing unprecedented disruption over the past 12 months, physical retailers will most definitely come back in a post-Covid world, according to Shopify President Harley Finkelstein.
In a series of tweets, he argues that the future of retail is not going to be online or offline. Rather, retail will be everywhere. Companies should build their brands accordingly.
“How you’re going to win in retail: Capitalise on your customer knowledge and be flexible when it comes to platforms,” Finkelstein says.
“You need to be able to sell everywhere from TikTok to Pinterest to a physical store and understand the different customers and merchandising needs between platforms.”
He concludes: “Having a deep understanding of your customer is the power of retailers today and in the future. Owning that relationship and understanding what they want and where they want to buy is key.”
Want you back for good
After a year of Covid-19 restrictions on stores across the US, 78% of Americans plan to shop more at physical locations this year than before the start of the pandemic.
They miss being able to interact with shop assistants, physically see the goods they are buying and 63% just want to get out of the house, according to recent research by ChaseDesign involving 1,000 people.
Retailers must, however, ensure there is an inviting in-store atmosphere (54%) and employ believable, knowledgeable staff (50%). Target and Walmart are leading the way here.
Shoppers also want to see the use of technology to support and enhance the physical shopping experience through the use of QR codes, apps and self-checkout systems.
78% will be using their smartphones in-store to assist their shopping and 45% tapping retailer apps to improve their experience.
Joe Lampertius, President at ChaseDesign, comments: “Our research clearly shows consumers want to enjoy physical shopping once again. 42% of people said they miss being able to touch and feel products.”
“When consumers do return, they will be using technology such as retailers apps and self-checkout to make their experience better.”
“Retailers need to take this into consideration and get ready to build connections with old and new customers.”
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